The rolling out of gas distribution licenses to qualified players in the sector, by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) would no doubt be a game changer in the various subsectors of the Nigerian economy, as the action aims to expand gas utilization in those subsectors.
The award of gas licenses has significant implications for the Nigerian economy, analysts remarked,
To energy industry analysts, the steps taken so far by NMDPRA are meant to deepen gas utilization in the country and to extend access to gas supply by expanding the national grid system.
Other sectors of the economy such as the power sector, the liquefied Petroleum Gas, and the compressed Natural Gas sectors would have ample resources available for their development to continue uninhibited.
According to George Eni -ita, Director, Public Affairs, NMDPRA, he stated that the exercise is in fulfillment of the Petroleum Industry Act ( PIA )2021 sections 125-126, 111, 148-152, and many others.
He said that the implementation is in line with the Gas Distribution Regulations 2023 provisions, which are meant to unlock the extensive gas opportunities for the energy-intensive industrial sectors, power generation, mobility CNG, energy parks, and special economic zones.